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Groundnut Production and Climatic Variability: Evidence from Uganda

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Author Info

  • Aizhen Li

    ()
    (University of Connecticut)

  • Boris E. Bravo-Ureta

    ()
    (University of Connecticut)

  • David K. Okello

    ()
    (National Semi-Arid Resources Research Institute (NaSARRI))

  • Carl M. Deom

    ()
    (University of Georgia)

  • Naveen Puppala

    ()
    (New Mexico State University)

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    Abstract

    This study contributes to understanding the relationship between climatic variables and groundnut production in different farming systems in Uganda. Alternative production function models are estimated using pooled cross-sectional time series data at the district level. The models incorporate land area, indicators for farming systems, technological change, and either rainfall or the El Niño–Southern Oscillation (ENSO) effect as variables to account for climatic conditions. The data set includes 333 observations corresponding to 37 districts for 9 consecutive years, from 1992 to 2000. Analyses were performed using a Translog functional form and GARCH estimators. The results suggest that the partial elasticity of production for land is positive, high and significant, which is consistent with a priori expectations. Farming systems are also found to have a significant impact on output variability. Climatic conditions, measured by rainfall, have a non-significant effect; but, when the ENSO phenomenon is used instead a significant negative effect is detected particularly for the warm phase. An important and alarming finding is a marked negative rate of technological change revealing productivity losses over the time period studied.

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    Bibliographic Info

    Paper provided by University of Connecticut, Department of Agricultural and Resource Economics, Charles J. Zwick Center for Food and Resource Policy in its series Working Papers with number 17.

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    Length: 26 pages
    Date of creation: Feb 2013
    Date of revision:
    Handle: RePEc:zwi:wpaper:17

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    Keywords: Uganda; Groundnuts; Productivity; GARCH; Rainfall; ENSO;

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    References

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    1. Yang, Seung-Ryong & Koo, Won W. & Wilson, William W., 1991. "Heteroskedasticity in Crop Yield Models," Staff Papers 121402, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Kato, Edward & Ringler, Claudia & Yesuf, Mahmud & Bryan, Elizabeth, 2009. "Soil and water conservation technologies: A buffer against production risk in the face of climate change?: Insights from the Nile Basin in Ethiopia," IFPRI discussion papers 871, International Food Policy Research Institute (IFPRI).
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